Fully describe the business's activities?
The business provides a delivery service for various merchants including but not limited to restaurants, coffee shops, take-away's, liquor stores, supermarkets and pharmacies
How long has the business been established?
The franchisor started the business 20 years ago.
How long has the owner had the business?
The seller bought the Franchise in 2020 but failed to make it operational since he had too many other business interests
How does the business operate on a daily basis?
Clients place orders with the merchant of their choice, via telephone or the app which are operated by the central call centre. Orders are processed by the call centre, collected from the merchant and delivered directly to the client's home or business
How are the clients attracted to the business?
Busy lifestyles are influencing the buying decisions of consumers who are looking for convenience. The ever increasing demand for life-simplifying services is what attracts clients to this business. The Covid-19 pandemic has transformed the delivery industry.
What Advertising/Marketing is carried out?
The franchisor advertises nationally via their website and social media platforms, as well as sms campaigns to their broad existing database
Does the business have any contract work?
Yes, delivery contracts are in place with various merchants, including numerous national brands.
What are the seasonal trends?
The business operates consistently throughout the year, however, winter tends to be busier.
How did the Covid-19 pandemic impact the business turnover / daily operations?
The Covid-19 pandemic has transformed the delivery industry and existing franchise owners are busier than ever.
What percentage of the business is cash/credit?
The business is operating on a EFT and cash-only basis
How could the profitability of the business be improved?
The business can invest in additional scooters or delivery bikes for it's own purposes
How involved is the Owner in running the business?
The owner should be actively monitoring the business online and be sure that merchants and end users are served well
Does the business need an office ?
The business can be run from any local location - as long as internet accessibility is good
What are the main assets of the business?
The the franchise holder should have excess to a good IT system and connectivity
Part of a well known, established brand with excellent franchisor support. The software application has been developed and fine-tuned over many years resulting in a simple, easy-to-run model with sustainable returns. Relatively small initial investment.
Complete owner involvement is necessary in order for the franchise to reach full potential.
Vast opportunities to be discussed with potential franchisees.
None identified, however, it is important to provide consistent service to end users and maintain good relationships with merchants.
What is the reason for the sale?
The franchise holder hasn't had time to start the operation since he had too many other business interests that kept him busy
What is the price plus stock and the profit?
Franchise joining fee of R150 000 exclusive of VAT New franchises are making monthly profits between R 16 000 /m on average in the first year ( Estimated )
Annual Turnover Amount between R 500 thousand and R 6 million